LONDON, UK: The Apax X Fund has signed a definitive agreement to acquire Alcumus, a global leader in technology-led risk management and compliance solutions.
Apax X has also signed a definitive agreement to acquire a controlling stake in Ole Smoky Distillery, one of the fastest growing spirits companies in the US. Both transactions are expected to close in Q1 2021, subject to customary closing conditions.
AGA is a limited partner in Apax. On a look through basis, AGA is expected to invest approximately €20m in Alcumus and approximately €10m in Ole Smoky, depending on final closing arrangements.
Note that these figures relate to AGA’s look through position of Apax X’s overall investments in Alcumus and Ole Smoky and are stated before taking into account any closing adjustments, fees, costs, and carried interest, and are translated based on today’s exchange rates where applicable1.
Alcumus provides Environment, Health and Safety (EHS) as well as Environmental, Social and Governance (ESG) risk management and compliance software and services.
The EHS and ESG services sectors, which the Apax Funds know well having tracked them for several years, are seeing significant growth driven by an increasingly complex regulatory environment and rising EHS and ESG expectations and requirements – tailwinds Alcumus is expected to benefit from.
Apax X will leverage the Apax Funds’ experience across services and software to partner with the existing management team in capitalising on long-term secular growth and consolidation in the market.
Ole Smoky Distillery is a leading distiller of premium American whiskeys that are renowned for their high quality, innovative and award-winning flavors.
The investment follows on from previous acquisitions in the consumer-packaged goods sector where the Apax internet/consumer team focuses on opportunities to acquire well-positioned premium brands.
In line with this strategy, Apax X identified Ole Smoky as a compelling investment opportunity in the high-growth spirits sector and will look to accelerate the company’s growth through continued investment in the core brand and supporting the strategic acquisition of complementary brands.
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